By Kirsty Walker and Jason Grove
- VAT to rise 2.5% to 20% from January 2011
- Deficit reduced 77% by spending cuts, 23% by tax rises
- Departments face cuts of 25% over the next five years
- Two-year pay freeze for public sector workers earning over £21,000
- Child benefit frozen for three years and tax credits cut
- Disability benefit claimants face new medical checks
- Corporation tax cut from 28% to 24% over four years
- Capital Gains Tax hiked to 28% for top-rate taxpayers
- Bank levy from 2011, raising £2bn a year
- Income tax threshold raised £1,000 to £7,495
- Pension link to earnings restored or 2.5% rise from next April
- Civil list frozen at £7.9m as Queen also feels the pinch
George Osborne today unveiled a ‘bloodbath’ budget of painful tax hikes and savage spending cuts which will hit every family in Britain.
Continue reading Budget 2010: Bloody George Wields The Axe – Public Spending And Welfare Slashed… And VAT Rises to 20%
